A Chinese Equity Screen for Volatility, Recent Limit-Ups, and Seven Down Sessions

Summary

This Chinese-language post proposes screening A-share stocks for a daily high-low range above one percent, at least one limit-up event during the preceding 25 days, and a run of seven declining sessions. Selected stocks enter a watch or investment pool. The author frames the large range as a sign of potential movement, the earlier limit-up as evidence of a notable price pattern, and the consecutive declines as recent pressure. Indicator and Python examples are included to illustrate how to express the conditions.

The post gives no backtest results, entry or exit rules, position sizing, or evidence that the screen predicts rebounds. It explicitly warns that the method omits company fundamentals and may select stocks affected by weak business performance, poor market conditions, or quickly shifting themes. It suggests adding fundamental and technical checks and monitoring positions for timely risk reduction. The code examples also warrant independent verification: the displayed seven-session condition appears to compare repeated values within a rolling window rather than directly testing seven consecutive down days, so the implementation may not match the stated rule.

Key ideas

• The screen combines a range threshold, a recent limit-up event, and seven consecutive down sessions.
• The author treats volatility and an earlier limit-up as signs of movement potential, while acknowledging recent selling pressure.
• The post provides example implementations but no measured performance or complete trading plan.
• Fundamental weakness, poor broad-market conditions, and fast theme rotations are listed as risks.
• The sample code should be checked because its rolling condition may not implement the stated down-streak rule.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.